Distribution Strategies - Intermediate inventory storage point strategies - Traditional warehousing
10 important questions on Distribution Strategies - Intermediate inventory storage point strategies - Traditional warehousing
Which two decisions need to be made with a traditional warehousing strategy?
- Centralized versus decentralized management
- Central versus local facilities
How does a traditional warehousing strategy look like with centralized management?
How does a traditional warehousing strategy look like with decentralized management?
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What happens with safety stock with a central vs local facility?
What happens with overhead costs with a central vs local facility?
What happens with economies of scale with a central vs local facility?
What happens with lead times with a central vs local facility?
What happens with service with a central vs local facility?
What happens with transportation costs with a central vs local facility?
What should be kept in mind when choosing between central or local facilities?
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